With the prospect of a US-China trade deal being agreed, Asian markets are on the rise.

The major markets in the region were led by the mainland indices. The Shanghai composite jumped 1.27 per cent and closed at 3,022.42, while the Shenzhen composite soared 1.45 per cent to 10,306.03.

Meanwhile, Hong Kong's 0'>Hang Seng rose 1.12 per cent to 27,817.49 before the markets closed. Main Chinese stocks, such as Tencent and Alibaba, were also in the green during the trading day.

As for Japan, the Nikkei 225 added 0.47 per cent to close at 24,066.12. South Korean Kospi rose more than 1 per cent to close at 2,195.68.

On Tuesday December 17, the Reserve Bank of Australia decided to leave the cash rate at 0.75 per cent, at the same level it was before. The officials agreed to ease monetary policy in the coming year if needed. In February, the Australian central bank is expected to release an economic outlook for 2020.

Following the decision, the Australian index S&P/ASX 200 was slightly down and closed at 6,847.30.

The US and China agreed on phase one of the trade deal on Friday, December 13. The US will roll back some of the tariffs on $360bn (€323bn, £269bn) of Chinese goods in exchange for Chinese commitments to buy US agricultural products and other concessions.

FURTHER READING: US and China reach phase one of trade deal